Energy Drinks Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Energy Drinks Market is Segmented by Packaging Type (Bottles and Cans), Distribution Channel (Supermarkets/Hypermarkets, Specialty Stores, Convenience Stores, Online Retail Stores, Specialist Retailers, and Other Distribution Channels), and Geography (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa). The report offers market sizes and forecasts for energy drinks (in USD million) for the above segments.

Market Snapshot

energy drink market overview
Study Period: 2016 - 2026
Base Year: 2021
Fastest Growing Market: Asia Pacific
Largest Market: North America
CAGR: 9.12 %
energy drink market major players

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Market Overview

The energy drinks market is projected to witness a CAGR of 9.12% during the forecast period, 2021 – 2026.

After the onset of the COVID-19 pandemic, the fitness clubs and other sporting arenas were shut down in major parts of the world. This move was introduced by the governments to limit the spread of the coronavirus, which subsequently affected the sales of energy drinks in the global market in 2020. However, the consumers are still clinging to workouts and are engaging in various exercise regimes in the comfort of their homes, leading to a continued need for energy drinks. Moreover, at the end of 2020, many economies removed the strict lockdown measures, which resulted in the opening of fitness clubs and sports clubs, thus resulting in the recovery of energy drinks sales.

Increased urbanization, rising disposable incomes, and growing health consciousness among consumers increased the demand for non-carbonated drinks. Energy drinks are widely consumed by adolescents due to their claims of improving performance, endurance, and alertness. At the same time, long and erratic working hours and the increasing occurrence of social gatherings are driving Indian consumers toward the consumption of energy drinks.​

Moreover, growth in the number of health-conscious consumers and increasing consumer awareness regarding active lifestyles, along with growing rates of lifestyle-related diseases, inspired health-oriented consumers to opt for healthy and sugar-free drinks. The energy drinks market is also projected to grow due to an increase in promotional and advertisement strategies.

Scope of the Report

An energy drink is a type of drink containing stimulant compounds, usually caffeine, which is marketed as providing mental and physical stimulation. It may or may not be carbonated and may also contain sugar, other sweeteners, herbal extracts, taurine, and amino acids. The market studied is segmented by packaging type, distribution channel, and geography.​ By packaging type, the market is segmented into cans and bottles. ​By distribution channel, the market is segmented into supermarkets/hypermarkets, convenience stores​, online retail stores, specialist retailers​, and other distribution channels. By geography, the market is segmented into North America, Europe, Asia-Pacific, South America, and Middle-East and Africa. For each segment, the market sizing and forecasts have been done on the basis of value (in USD million).

By Packaging Type
By Distribution Channel
Specialty Stores
Convenience Stores
Online Retail Stores
Other Distribution Channels
North America
United States
Rest of North America
United Kingdom
Rest of Europe
Rest of Asia-Pacific
South America
Rest of South America
Middle-East and Africa
South Africa
United Arab Emirates
Rest of Middle-East and Africa

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Key Market Trends

Product Innovation is the Key to Increased Consumption

Despite stringent laws and a heavily regulated environment, the market for energy drinks is recording growth owing to the high level of product innovation by players. This also helps the players address the requirements of consumers.​ Energy drinks are especially popular among college students and corporates as a substitute for coffee, which helps them stay alert during work. Moreover, these energy drinks are gaining popularity as they are used as mixers in popular alcoholic drinks. Energy drinks, such as Rock Star, Monster, and Red Bull, are promoting the image of strength, energy, and speed. The sleek and colorful packaging of energy drinks is attracting consumers, primarily due to the cool and trendy factor. Furthermore, these energy drinks help in balancing the level of taurine, an amino acid, which is naturally found in the body. The level of taurine is expected to decline significantly during extreme physical exertion and high stress. ​Manufacturers of energy drinks are focusing on expanding their product lines by introducing new flavors and new categories to encourage frequent consumption and drive the market studied.

energy drink market trends

North America Dominates the Energy Drinks Market

The high consumption of energy drinks and the massive coffee culture in the United States have pushed the notion of energy shots into the mainstream, which is a major factor driving the sales of energy drinks in the country.​ Energy drinks are an integral part of social gatherings, parties, and celebrations in the United States. Manufactures such as Red Bull, Monster Beverages, and others are offering their energy drinks in multiple flavors and two major packagings, which include PET bottles and cans, providing consumers with a wide range to choose their suitable drinks from, in terms of both packaging and flavor.​ Furthermore, soda consumption is substantially declining in the country, which in turn, has provided a great opportunity for manufactures such as Coca-Cola and PepsiCo, who are trying to leverage the name recognition of their legacy brands by making a bigger dent in the growing energy drink category.​ For instance, in 2019, Coco-Cola announced the launch of its first energy drink under its brand in four variants, which include Coca-Cola Energy, Coca-Cola Energy Zero Sugar, Coca-Cola Energy Cherry, and Coca-Cola Energy Cherry Zero Sugar.​

energy drink market share

Competitive Landscape

The energy drinks market is a competitive market, making it hard for new and small companies to compete. Monster Beverage Corporation, Red Bull, The Coco-Cola Company, Rockstar Inc., and PepsiCo are a few of the many companies with high shares in the energy drinks market. Companies operating in the market are focusing on personalization and convenience and are also providing healthy, zero-calorie, and low-sugar functional energy drinks to scale their energy drink production in the region.

Additionally, product launches may help companies tap into the huge potential for growth in the developing regions. Most manufacturers create product awareness through advertising and celebrity endorsement. In addition to this, major sports events are sponsored by energy drink manufacturers.

Recent Developments

In March 2021, Red Bull announced to launch a new Dragon Fruit flavor. The brand describes it in a press release as "an invigorating red berry and exotic taste," which contains "a burst of red berries with a hint of plum and notes of florals." The new Dragon Fruit flavor will come in a 12-ounce bottle and the brand's signature 8.4-ounce can. The can contains 27 grams of sugar plus 80 milligrams of caffeine—almost the same amount of caffeine as a home-brewed cup of coffee.

In January 2021, Monster Energy announced its latest addition to the Monster Energy Ultra family, Ultra Gold, inspired by the ancient Greek legendary libation nectar of ambrosia. The Ultra Gold energy drink claims to be sugar free.

In March 2020, PepsiCo Inc. entered an agreement to acquire Rockstar Energy Beverages, a popular energy drink maker. Through this deal, PepsiCo Inc. made a debut in the UK energy drinks market.​

In 2019, Monster transformed its energy drink packaging from its typical aluminum can format to transparent PET with aluminum top in the new Hydro energy drink line.​

In 2019, Monster Beverage Corporation launched its Monster Ultra brand in India, owing to the growing consumer demand.​

Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Drivers

    2. 4.2 Market Restraints

    3. 4.3 Porter's Five Forces Analysis

      1. 4.3.1 Threat of New Entrants

      2. 4.3.2 Bargaining Power of Buyers/Consumers

      3. 4.3.3 Bargaining Power of Suppliers

      4. 4.3.4 Threat of Substitute Products

      5. 4.3.5 Intensity of Competitive Rivalry


    1. 5.1 By Packaging Type

      1. 5.1.1 Bottles

      2. 5.1.2 Cans

    2. 5.2 By Distribution Channel

      1. 5.2.1 Supermarkets/Hypermarkets

      2. 5.2.2 Specialty Stores

      3. 5.2.3 Convenience Stores

      4. 5.2.4 Online Retail Stores

      5. 5.2.5 Other Distribution Channels

    3. 5.3 Geography

      1. 5.3.1 North America

        1. United States

        2. Canada

        3. Mexico

        4. Rest of North America

      2. 5.3.2 Europe

        1. United Kingdom

        2. Germany

        3. Spain

        4. France

        5. Italy

        6. Russia

        7. Rest of Europe

      3. 5.3.3 Asia-Pacific

        1. China

        2. Japan

        3. India

        4. Australia

        5. Rest of Asia-Pacific

      4. 5.3.4 South America

        1. Brazil

        2. Argentina

        3. Rest of South America

      5. 5.3.5 Middle-East and Africa

        1. South Africa

        2. United Arab Emirates

        3. Rest of Middle-East and Africa


    1. 6.1 Most Active Companies

    2. 6.2 Most Adopted Strategies

    3. 6.3 Market Share Analysis

    4. 6.4 Company Profiles

      1. 6.4.1 Red Bull GmbH

      2. 6.4.2 PepsiCo Inc.

      3. 6.4.3 Monster Energy

      4. 6.4.4 The Coca-Cola Company

      5. 6.4.5 National Beverage Corp.

      6. 6.4.6 Amway Corp.

      7. 6.4.7 Campbell Soup Company

      8. 6.4.8 Living Essentials LLC

      9. 6.4.9 AriZona Beverages USA

      10. 6.4.10 Suntory Holdings Limited

    5. *List Not Exhaustive


**Subject to Availability

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Frequently Asked Questions

The Global Energy Drinks Market market is studied from 2016 - 2026.

The Global Energy Drinks Market is growing at a CAGR of 9.12% over the next 5 years.

Asia Pacific is growing at the highest CAGR over 2021- 2026.

North America holds highest share in 2020.

Red Bull GmbH, Monster Energy, PepsiCo, Inc., National Beverage Corp., The Coca-Cola Company are the major companies operating in Global Energy Drinks Market.

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